ISLAMABAD: Pakistan’s foreign exchange reserves have climbed to $21.1 billion, reaching their highest level since March 2022. This marks a notable milestone in the country’s economic journey.
This accomplishment underscores steady economic growth and heightened investor trust in the nation’s leadership and policies.
The State Bank of Pakistan (SBP) reports reserves standing at $15.9 billion, with the country’s import cover now exceeding 2.6 months—a significant indicator of financial resilience.
Economic analysts attribute the surge in reserves not to external loans but to domestic economic progress, structural reforms, and a renewed sense of confidence within the financial ecosystem.
Recent data reveals that the external debt-to-GDP ratio has declined from 31% to 26%, signaling better fiscal discipline and the success of targeted reform strategies.
Experts are highlighting this reserve growth as more than just a fleeting trend, describing it as a sustainable outcome of robust economic recovery efforts.
Back in 2023, the central bank’s reserves had dropped to a precarious $2.9 billion. However, they have now surged nearly 5.5 times, totaling approximately $15.9 billion.
Additionally, forward foreign exchange liabilities have plummeted by 65%, which is expected to alleviate future external financial pressures. Although Pakistan experienced rising debt and dwindling reserves from 2015 to 2022, the economic trajectory has seen a visible improvement since then.
Experts further underline that factors such as a reduced debt-to-GDP ratio, bolstered reserves, increased investor confidence, and overall economic stability collectively signify progress.
This rise in foreign reserves is regarded not merely as a statistical gain but as evidence of a deeper transition towards long-term external economic strength and stability.
